On August 25, 2015, The Washington Post ran a front-page article about structured settlement factoring. The story focused on the alleged practices of a factoring company that aimed to buy the structured settlement payment rights due to be paid to cognitively-impaired lead-paint-poisoning victims in Baltimore.
The article appeared under the headline, “How companies make millions off lead-poisoned, poor blacks” with the subheading “Lead paint victims are lured by quick cash and unload their financial future for dimes on the dollar“. (The article is available here.)
Since that time, news stories about the practices appeared on the television magazine program 60 Minutes and in other high-profile media, members of Congress and state legislators called for investigations of factoring company practices, the Maryland state legislature revised the state’s structured settlement protection law, Maryland’s judiciary adopted new and rules for settlement factoring proceedings, the Maryland Attorney General filed a lawsuit against a factoring company that was reported to have engaged in the lead-paint-poisoning-victim targeting, and the Consumer Financial Protection Bureau also brought suit against that company.
Those are some of the developments in the past two years, many of which have been discussed on this blog.
Now that two years have passed, Secondary Insurance Market Blog over the coming weeks plans to recap some of these developments, and take a look at what else may develop from the reports that started in August, 2015.